If you already think iPhones are pricey, brace yourself — they might become even more expensive in the coming weeks or months.
That’s because of new tariffs introduced by former President Donald Trump, which place a 125% tax on products coming from China. Since many tech items — including iPhones, laptops, and even small gadgets like headphones — are made in China, their prices in the U.S. could go up.
Apple, like many tech companies, relies heavily on China to build its products. With about 90% of iPhones assembled there, the tariffs could affect the cost of nearly every new phone. Unless Apple gets another exemption like it did during Trump’s earlier term, prices may rise sharply.
How Much Could Prices Go Up?
Experts say we might see a price increase soon, depending on how much stock Apple has in U.S. warehouses. Some analysts believe Apple has enough iPhones to last 3 to 6 weeks, while others think they could stretch it for a couple of months.
Once that inventory runs out, prices could shoot up. According to UBS, the price of the iPhone 16 Pro Max, which now costs $1,199, could increase by $800 if made in China. If it’s made in India instead, the price might only rise by $45.
Wireless companies might try to soften the blow by offering discounts on older models or monthly installment plans, which are already used by more than half of phone buyers in the U.S.
What Can Apple Do?
Apple has been moving some of its production to India and Vietnam to rely less on China. In fact, reports say more iPhones are now being made in India for U.S. customers.
Some believe Apple could eventually move production to the U.S., but that would be very expensive and hard to do quickly. Higher labor costs and a shortage of willing workers make this option challenging. Experts estimate it could cost up to 20% more to make an iPhone in the U.S., and some say a U.S.-made iPhone might cost as much as $3,500.
While Apple has announced a $500 billion investment in the U.S., that money is going toward things like servers and training centers — not iPhone factories.
Could Apple Delay New iPhones?
It’s possible. If tariffs make the U.S. market harder to manage, Apple could temporarily delay or adjust its product launch schedule. Analysts say this is a strategy Apple might consider if the situation gets worse.
For now, Apple hasn’t confirmed any such changes.
